MaMeeFarm™ Publication

Why Care Services Matter to the Labour Market

The ability to work for an income depends on more than the availability of jobs.

For many households, employment decisions are closely connected to the care needs of children, older family members, and people who require assistance with daily activities.

A person may have the qualifications and willingness to work but face difficulties accepting employment because someone in the household needs regular care.

Working hours, travel arrangements, the cost of care services, and the availability of reliable support can all influence whether paid employment is practical.

These connections are important to understanding labour markets.

According to the International Labour Organization (ILO), an estimated 748 million people aged 15 and above were outside the global labour force because of unpaid care responsibilities in 2023.

Of that total, approximately 708 million were women and 40 million were men.

The figures illustrate the substantial relationship between care responsibilities and labour market participation.

They also reveal why care services should not be viewed only as household or social welfare concerns. They are part of the conditions that shape people’s opportunities to earn an income.

When Care Responsibilities Limit Employment Choices

Unpaid care work includes activities that support people who need assistance with daily living.

These responsibilities may involve looking after young children, assisting older relatives, supporting family members with disabilities, or providing other forms of ongoing care.

Such work is essential to households and communities.

However, it can also require time and attention that affect the availability of family members for paid employment.

A parent caring for a young child may be unable to accept a job with fixed daytime hours if suitable childcare is unavailable.

Someone supporting an older relative may find it difficult to work long shifts or travel regularly.

Another person may be able to work part-time but unable to accept full-time employment because care responsibilities must be managed throughout the day.

These situations do not mean that care responsibilities always prevent employment.

Many people combine paid work with unpaid care.

The central issue is that care obligations can influence which employment opportunities are realistically available.

What the ILO Figures Tell Us

The ILO’s 2024 statistical assessment estimated that 748 million people were outside the labour force because of care responsibilities in 2023.

Women accounted for approximately 708 million of this total, while men accounted for around 40 million.

The assessment also found that care responsibilities were cited by approximately 45% of women outside the labour force, compared with about 5% of men outside the labour force.

These findings show that unpaid care responsibilities are distributed unevenly between women and men.

However, the figures require careful interpretation.

People outside the labour force are not the same as people classified as unemployed.

Under international labour statistics, unemployment generally concerns people without employment who meet the relevant conditions for seeking and being available for work.

People outside the labour force do not meet the statistical conditions for classification as employed or unemployed.

The ILO’s estimate therefore should not be described as 748 million unemployed people.

Nor does it establish that all 748 million would immediately enter paid employment if care services became available.

The estimates, derived from data covering 125 countries, identify care responsibilities as a reported reason for non-participation in the labour force.

They do not measure the number of jobs that would be created or filled through any particular policy.

Nevertheless, they demonstrate that care responsibilities are an important part of understanding why some people remain outside paid employment.

Why Childcare Services Matter

Childcare services can influence how parents organize their working lives.

For families with young children, the availability of suitable care may affect whether a parent can accept employment, increase working hours, or maintain a regular schedule.

The relevant considerations extend beyond the existence of a childcare facility.

Location matters because parents must be able to reach the service.

Operating hours matter because childcare arrangements must fit the working day.

Cost matters because the expense of care can affect the financial benefit of taking a job.

Quality and reliability also matter because parents need confidence that their children will receive appropriate care.

A childcare service that closes before a parent’s shift ends may not fully resolve the difficulty of combining care with employment.

Similarly, a service that is available but financially inaccessible may offer little practical support to a household with limited income.

The availability of childcare can therefore expand employment options, but its usefulness depends on whether services fit the circumstances of families.

Elderly Care and the Changing Needs of Households

Care responsibilities are not limited to raising children.

Older family members may require assistance with mobility, medical appointments, meals, personal care, or other daily activities.

The level of support required can vary considerably.

Some older people live independently and need only occasional assistance. Others require regular or intensive care.

When formal support is limited, family members may provide much of that assistance themselves.

This can affect their working schedules and employment decisions.

An adult supporting an older parent may need to reduce working hours, decline jobs involving travel, or arrange employment around care responsibilities.

Reliable eldercare services may help households manage these demands.

However, different forms of care are needed for different circumstances.

Day services, home-based support, community care, and long-term residential services do not provide identical assistance.

Their availability and suitability cannot be assessed through a single measure of service coverage.

The labour market relevance of eldercare therefore depends on the type of support required and the practical services available to families.

The Cost of Care and the Value of Paid Work

Employment decisions also involve financial considerations.

For a household considering paid employment, the cost of care services may affect how much additional income remains after necessary expenses.

A job may offer wages, but accepting it can also involve transportation costs, care fees, and other work-related spending.

The financial calculation can differ substantially between households.

Someone with access to affordable family or community support may face different choices from someone who must pay for formal care.

Similarly, care services that are affordable to higher-income households may remain inaccessible to families with lower incomes.

This does not mean that employment decisions are determined by care costs alone.

Wages, job security, working conditions, taxes, benefits, personal preferences, and career opportunities also influence choices.

But the affordability of care is one factor that can shape whether paid employment is financially practical.

For this reason, evaluating access to work requires attention to both employment opportunities and the costs associated with taking them.

Working Hours and Care Responsibilities Must Fit Together

The relationship between care and employment is also shaped by time.

Many jobs require workers to be available at particular hours.

Care responsibilities may arise during those same hours or extend beyond a standard working day.

This can create difficulties for workers with early morning shifts, evening schedules, weekend work, or unpredictable hours.

Even where care services exist, their operating schedules may not match the needs of workers.

Flexible working arrangements can help some households manage these demands.

Care leave, predictable scheduling, and opportunities to adjust working hours may also support workers with family responsibilities.

The ILO’s Care at Work report examines care-related leave policies and services through a legal survey covering 185 countries.

The report identifies differences in legal protections and access to care-related support.

However, the existence of a legal entitlement does not necessarily mean that every worker can use it in practice.

Eligibility rules, employment arrangements, income security, and implementation can affect access.

Care services and employment policies therefore need to be considered together when examining the practical conditions of labour market participation.

How Care Responsibilities Are Shared Within Families

Household care is not always divided equally among family members.

The ILO’s estimates show that women account for the overwhelming majority of people outside the labour force because of unpaid care responsibilities.

This difference is important because household arrangements can influence individual employment opportunities.

When one family member assumes most of the responsibility for children or dependent relatives, that person’s time available for paid work may be more constrained.

The effects can extend beyond whether someone has a job.

Care responsibilities may influence working hours, the ability to accept promotions, participation in training, and the types of employment considered practical.

At the same time, families differ in their needs, preferences, resources, and arrangements.

Not every decision to provide care at home is involuntary, and not every household wishes to replace unpaid family care with formal services.

The relevant issue is whether people have realistic choices and sufficient support to combine care responsibilities with their preferred forms of employment.

Care Services Are Also a Source of Employment

Care services influence labour markets in another way: they employ workers.

Childcare providers, home-care workers, residential care staff, and other professionals deliver services that support individuals and families.

Expanding care services can increase demand for workers within the care sector.

However, the quality of those jobs matters.

Care workers may face challenges involving wages, working hours, employment protection, training, and working conditions.

The ILO has emphasized the importance of decent work in the care economy, including appropriate protections for workers providing paid care.

This creates two related considerations.

Care services may support the employment choices of family members who would otherwise provide unpaid care.

At the same time, those services depend on a workforce whose own employment conditions require attention.

A functioning care system therefore involves more than increasing the number of available places or services.

It also requires considering the people who provide care and the conditions under which they work.

Why More Care Services Do Not Automatically Mean More Employment

The relationship between care services and labour market participation is significant, but it should not be reduced to a simple prediction.

Providing additional childcare or eldercare services may remove an important constraint for some households.

Yet employment outcomes also depend on whether suitable jobs are available, what those jobs pay, and whether workers have the qualifications and opportunities to take them.

Service quality, affordability, location, and household preferences can further influence how people respond.

The ILO’s global figures establish the scale of reported care-related non-participation in the labour force.

They do not establish a universal employment effect from expanding care services.

National circumstances also differ, and international comparisons must account for differences in survey methods, labour market structures, and social support systems.

Care services should therefore be understood as one important component of labour market participation rather than a guarantee of employment growth.

Understanding Labour Markets Beyond Jobs and Wages

Labour markets are commonly discussed through employment rates, unemployment, wages, skills, and business demand for workers.

These measures are important.

But they do not fully explain the circumstances that determine whether individuals can participate in paid work.

Care responsibilities connect employment opportunities with the organization of everyday family life.

The availability of childcare, eldercare, and other support services can influence how much time household members have for employment and which jobs they can realistically accept.

The cost and reliability of those services can shape whether working is practical.

The distribution of unpaid care within families can also affect whose employment opportunities are more constrained.

Recognizing these relationships does not diminish the value of unpaid care.

It acknowledges that essential care responsibilities and paid employment exist within the same economy.

A more complete understanding of labour markets must therefore consider not only the jobs available to people, but also the conditions that make it possible for them to take those jobs.

Care services do more than support families. They help shape who has the opportunity to participate in the labour market.


MaMeeFarm™

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Sources and References

  1. International Labour Organization (ILO). Unpaid care work prevents 708 million women from participating in the labour market. 29 October 2024. https://www.ilo.org/resource/news/unpaid-care-work-prevents-708-million-women-participating-labour-market
  2. ILO. The Impact of Care Responsibilities on Women’s Labour Force Participation. Statistical Brief, October 2024. https://www.ilo.org/sites/default/files/2024-10/GEDI-STAT%20brief_formatted_28.10.24_final.pdf
  3. ILO. Care at Work: Investing in Care Leave and Services for a More Gender Equal World of Work. 2022. https://www.ilo.org/publications/major-publications/care-work-investing-care-leave-and-services-more-gender-equal-world-work
  4. ILO. Advancing Decent Work and the Care Economy: An Essential Component of Social Development. 2025. https://www.ilo.org/publications/advancing-decent-work-and-care-economy-essential-component-social